dupont 1q12 slides final

8/2/2019 DuPont 1Q12 Slides FINAL

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DuPont 1Q 2012 Earnings

Conference Call

DuPont 1Q 2012 Earnings Conference Call

April 19, 2012


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The attached charts include company information that does not conform to generally accepted accounting principles

(GAAP). Management believes that an analysis of this data is meaningful to investors because it provides insight with respect

to ongoing operating results of the company and allows investors to better evaluate the financial results of the company.

These measures should not be viewed as an alternative to GAAP measures of performance. Furthermore, these measures

may not be consistent with similar measures provided by other companies.

This data should be read in conjunction with the Companys first quarter earnings news release dated April 19, 2012, which

will be furnished to the SEC on Form 8-K. Reconciliations of non-GAAP measures to GAAP results are available on the

Investor Center website at www.dupont.com.

Forward Looking Statements

During the course of this presentation we may make forward-looking statements or provide forward-looking information. All

statements that address expectations or projections about the future are forward-looking statements. Some of these

statements include words such as plans, expects, will, anticipates, believes, intends, and estimates. Although

they reflect our current expectations, these statements are not guarantees of future performance, but involve a number of

risks, uncertainties, and assumptions. Some of those risk factors include: fluctuations in energy and raw material prices;

failure to develop and market new products and optimally manage product life cycles; global economic and capital markets

conditions; litigation and environmental matters; changes in laws and regulations or political conditions; and business or

supply disruptions. The Company does not undertake to update any forward-looking statements as a result of future

developments or new information.

Developing Markets

Total developing markets is comprised of Developing Asia, Developing Europe, Middle East & Africa, and Latin America. A

detailed list of all developing countries is available on the Earnings News Release link on the Investor Center website at

www.dupont.com.

Regulation G

2


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$ in billions, except EPS

1Q12 vs. 1Q11

EPS

Underlying* $1.61 6%

Reported $1.57

Segment PTOI* $2.4 12%

Consolidated Net Sales $11.2 12%

Volume (2)%

Local Prices 8%

Currency Impact (1)%

Portfolio / Other 7%

1Q12 1Q11

Base Tax Rate* 23.9% 21.3%

* See Schedules B, C, and D in the earnings news release for details ofsignificant items and reconciliation of non-GAAP measures.

1Q 2012 Financial Highlights


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1Q 2012 EPS Waterfall

4

KeyTakeaways

Pricing discipline and new products contribute to growth Volume reflects Ag gains in all regions offset by softness in PV and

industrial markets

* Excluding significant items. See schedules B and D in the earnings news

release for significant items and the reconciliation of non-GAAP measures.

$1.52

$.73

($.01)

($.06) ($.06)

($.28)

($.20)

$.07 ($.04)($.06)

1Q'11 Local Prices Variable Cost Volume Fixed Cost Currency Portfolio

Changes

Exchange

Gains/Losses

Income Tax Other 1Q'12

$1.61

Underlying

&

Reported

EPS

Underlying

EPS*

$1.57

Reported

EPS


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Global Sales Regional Highlights

1Q 2012 Sales YOY % CHG1Q 2012 Sales by Region

U.S. & Canada43%

Developing

EMEA10%

Developed

EMEA18%

DevelopingAsia10%

DevelopedAsia8%

Latin America11%

Region %

Worldwide 12

U.S. & Canada 13

Non-U.S. & Canada 11

Developing Markets 15

Developing Asia -2

Developing EMEA 30

Latin America 23


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Balance Sheet and CashMarch 31, 2012

Free Cash Flow*

$500 million contribution to principal

US pension plan (Jan-12)

~$100 million working capital

productivity

Improved net working capital turnover

by ~5%*

Capex spend ~$2.1B FY; $0.3B 1Q12

Strong Balance Sheet

$3.6B cash, cash equivalents andmarketable securities

$14.8B gross debt

$11.2B net debt*

* Reconciliations of free cash flow, net debt and net working capital turnover can be

found on the companys Investor Center website at www.dupont.com.

Free Cash Flow*

-2.5

-2.0

-1.5

-1.0

-0.5

0.01Q11 1Q12

$Billions

0

4

8

12

16

Mar-11 Jun-11 Sep-11 Dec-11 Mar-12

$Billio

ns

Gross Debt Cash Net Debt*

Cash and Debt


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AgriculturePioneer, Crop Protection

0.0

1.0

2.0

3.0

4.0

5.0

1Q10 1Q11 1Q12

$inBillions

1Q PTOI **

1Q Sales *

1Q10 1Q11 1Q120%

12%

24%

36%

0

500

1000

1500

PTOIM

argin

$inMillions

* Segment sales include transfers.

** Excluding significant items. See schedules C and D in the earningsnews release for reconciliation of non-GAAP measures.

2Q Outlook

Sales up mid teens with mid single digit earnings growth

Seed sales growth underpinned by a strong finish to the

North American and European planting season

Crop Protection sales significantly higher on northern

hemisphere market conditions and new products

Currency headwind moderates from 1Q levels

1Q Comments

Sales +16% to $4.1B

PTOI +18% to $1.3B

Seed sales +20% to $3.2B

All regions contributed to growth. Strong start to North

America season, strong and early start to Europe and

robust performance in Brazil Safrinha summer corn. Price

realization and volume growth on track

Crop Protection sales +7% to $0.9B

Rynaxypyr continued growth; Europe strong, early start


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Nutrition & Health

0.0

0.2

0.4

0.6

0.8

1.0

1Q10 1Q11 1Q12

$inBillions

1Q Sales *1Q Comments

1Q Sales +149%, primarily Danisco Specialty Food Ingredient

Solae specialty protein business continued growth offset by

lower soy commodity sales in line with business objectives

of mix enrichment

Earnings increased to $83 million on integration and positive

cost synergy benefit of the Danisco specialty food

ingredients acquisition

Earnings included $21 million amortization expense

associated with step-up of acquired intangible assets

1Q PTOI **

1Q10 1Q11 1Q12

0%

3%

6%

9%

12%

15%

0

20

40

60

80

100

PTOI

Margin

$inM

illions

2Q Outlook

Sales of $820 to $860 million

Increased earnings on higher sales and cost synergies offset

in part by raw material increases.

Earnings will include $21 million amortization expense

associated with step-up of acquired intangible assets




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Electronics & Communications

0%

4%

8%

12%

16%

20%

0

25

50

75

100

125

1Q10 1Q11 1Q12

PTOIMargin

$inMillions

0.0

0.2

0.4

0.6

0.8

1.0

1Q10 1Q11 1Q12

$inBillions

1Q Sales *

1Q PTOI **

1Q Comments

Sales down 17% on 18% lower volumes

Price up 1%, essentially metals pass through

PV cell and modules recovering late in 1Q, with

share gains in Solamet metallization paste

Consumer electronics mixed with strong

demand for smart phones and tablets

PTOI and PTOI margin down on lower volumeand plant utilization

2Q Outlook

Sales down moderately

PV installations up ~10% for full year. PV

market recovery expected by mid-2012

Demand growth for smart phones, tablets

and laptops

PTOI down substantially on lower volume




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Industrial Biosciences

1Q12

0%

3%

6%

9%

12%

15%

0

10

20

30

40

50

PTOIMargin

$inM

illions

1Q PTOI **

1Q Sales *1Q Comments

1Q reflects acquisition of Genencor

Strong demand in enzymes, especially in animal

nutrition with new product launches and increased

demand in grain processing (high fructose corn syrup

and ethanol)

Sorona gaining market adoptions in carpeting

PTOI includes $5 million amortization expenseassociated with step-up of acquired intangible assets

2Q Outlook

Sales of $290 to $320 million on continued

growth in animal nutrition and food, strong

growth in grain processing

PTOI margin low double digits. PTOI includes

$5 million amortization expense associated with

step-up of acquired intangible assets.

0.0

0.1

0.2

0.3

0.4

1Q12

$inBillions




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Performance ChemicalsTitanium Technologies (DTT), Chemicals & Fluoroproducts (DC&F)

1Q Sales *

1Q PTOI **

0.0

0.5

1.0

1.5

2.0

1Q10 1Q11 1Q12

$inBillions

0%

10%

20%

30%

0

200

400

600

1Q10 1Q11 1Q12

PTOIMar

gin

$inMillio

ns

1Q Comments

2Q Outlook

Sales up modestly primarily on price

Ongoing market recovery, particularly in N. America

Destocking ending in Asia

PTOI up moderately

Sales up 6% on price

Global sequential improvement in TiO2 demand

Robust demand for aniline, cyanide products

PTOI up 30% on strong pricing and productivity in

both businesses




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Performance Coatings

0.0%

2.5%

5.0%

7.5%

10.0%

0

25

50

75

100

1Q10 1Q11 1Q12

$inM

illions

1Q Sales *

1Q PTOI **

0.00

0.25

0.50

0.75

1.00

1.25

1Q10 1Q11 1Q12

$inBillions

2Q Outlook

Sales up slightly on volume and price

PTOI up substantially with continued margin

improvement

Global auto builds up 10-12% in 2Q, 5-6% for FY

Continued pricing and mix enrichment actions

Ongoing productivity emphasis

1Q Comments

Sales up 6% with price increases in all regions and

market segments

Auto builds up 4% globally, up 17% in NA

Lower Refinish volume, primarily in S. Europe

Continued demand growth for NA heavy duty trucks

PTOI up 34% with 170 bps margin expansion

through pricing, mix enrichment actions and

productivity gains

PTOIM

argin




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Performance MaterialsPerformance Polymers (DPP), Packaging & Industrial Polymers (P&IP)

0%

5%

10%

15%

20%

0

75

150

225

300

1Q10 1Q11 1Q12

$inMillions

0.0

0.4

0.8

1.2

1.6

2.0

1Q10 1Q11 1Q12

$inBillions

1Q Sales *

1Q PTOI **

1Q Comments

Sales down 6% on 10% lower volume

Price up 6% offsetting higher raw material costs

Continued soft industrial and electronics

demand, particularly in AP & EU

Sequential growth in all regions

PTOI down $48 million on lower volume

2Q Outlook

Sales down slightly with continued sequential

growth Global auto builds up 10-12% with NA up 22%

PTOI up moderately due to lower ethane costsPTOIMa

rgin




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Safety & ProtectionProtection Technologies (DPT), Building Innovations (BI), Sustainable Solutions (DSS)

0%

4%

8%

12%

16%

20%

24%

0

25

50

75

100

125

150

1Q10 1Q11 1Q12

PTOIMargin

$inMillio

ns

1Q Sales *

1Q PTOI **

0.00

0.25

0.50

0.75

1.00

1Q10 1Q11 1Q12

$inBillions

2Q Outlook

Sales and PTOI up slightly with continued demand

improvement in North America

Improved demand for Kevlar in public sector andindustrial markets

Sequential demand improvement for Nomex

particularly in auto and energy solutions

1Q Comments Sales down 2% with 5% lower volume partially

offset by 3% higher selling prices

Continued softness in industrial markets with weak

infrastructure spend

PTOI down 31% on lower volume and higher costs

associated with operating the new Kevlar CooperRiver plant




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Industrial Chemical Prices

Fixed Cost Control

Total Company Volume and Local Pricing Trends

Appendix


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Industrial Chemical PricesIndustrial Chemical Prices


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DuPont Selling Prices Worldwide *


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DuPont Sales Volume Worldwide *


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30

35

40

45

50

55

1 Qtr 2 Qtr 3 Qtr 4 Qtr Full Year

2008 2009 2010 2011 2012

Note: Data excludes significant items in all periods.

* See Schedule D in earnings news release for detailed

reconciliations of non-GAAP measures.

Productivity Initiative Fixed Cost ControlFixed Costs as % of Consolidated Sales*


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dupont 1q12 slides final

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